Lite-On Technology (2301-TW) today reported third-quarter worldwide consolidated sales of NT$31.29 billion, up 2% Q-o-Q, and net profits of NT$1.98 billion with EPS of NT$0.88. Total sales from January through September 2012 were 89.39 billion, maintaining the same level as last year, and the gross margin and operating margin were 13.1% and 6.1% respectively, with a gross profit growth of 6.6% Y-o-Y and an operating profit growth of 10.1% Y-o-Y, mainly attributable to a better product mix, cost efficiency and effective supply chain management, while cumulative net profits totaled NT$5.23 billion with EPS of NT$2.31.
In the third quarter, Lite-On’s gross margin and operating margin were 13.1% and 6.1% respectively. Thanks to a steady increase in the end-demand of high-end servers, networking equipment and mobile devices for cloud computing applications, Lite-On’s core business groups, Optoelectronics and Power Supply, posted growths of 10% and 5% Y-o-Y respectively, of which LED lighting components showed a solid growth of 500% Y-o-Y, mainly thanks to strong demand and mass production for global lighting brands.
Cumulative sales of Camera Module and HIS (Human Input Solutions - PC keyboards and peripherals) business units in the first three quarters grew by 30% Y-o-Y and 20% Y-o-Y respectively, resulting from production capacity expansion and the smooth delivery of high-end products, as well as ongoing gains in the global market share of tablet pcs and smart-phones. Looking ahead, sequential growth is expected in Cloud-related and mobile devices to be newly launched, and stable business development in the fourth quarter.
As an overview of the first three quarters, Lite-On’s increased profits were driven by the steady growth of core business groups with margin upgrades, while overall operating expenses were well controlled, with R&D expenses increasing 11% over last year. The CCC (Cash Conversion Cycle) was well managed within 17 days, and the net cash position maintained NT$ 10.3 billion after the distribution of NT$ 6 billion in cash dividends.
In the third quarter, Lite-On posted a net income of NT$378 million for its non-operating items, and Lite-on Mobile reported third-quarter sales of €176 million, up 25% Q-o-Q, thanks to customer diversification, ramp-ups of key programs and increased integrated mechanics. The gross margin and operating margin showed sequential growth respectively, resulting from higher scales and effective cost control, while cumulative sales of the first three quarters reached €547 million, up 27% Y-o-Y. Looking ahead, profit improvement is expected as a result of customer diversification, further cost base reduction and a favorable product mix in the fourth quarter.
Press Contact:
Julia Wang, Director of IR/PR
+886-2-8798-2888
Liteontech.IR@liteon.com